Australia's largest stock trading and investment forum Australia's #1 stock forum

VIV

0.00%

2.5¢ vivid technology limited

I think this is a good summary and might explain the dump on...

First 12 Last

Share
Profile

Follow
verce

7,518 Posts.

847

03/09/18

16:09

Post #: 35380550
Share

Originally posted by BWinter ↑

They Still Have a Long Way to Go
Cold and rainy day here so spent some time reading the Prelim Final Report.
1) Note is that the ratio of Revenue to COGS is roughly unchanged from 2017 to 2018 and nothing the balance sheet to indicate a large increase in non current assets ... so my conclusion is that LaaS is not a factor in the current numbers.
2) Outlook for 2019 is for "Vivid Technology is planning on strong double-digit growth in revenue for the coming year". So 10% minimum 99% maximum, probably somewhere in between.
3) Suppose, Vivid can contain their expenses other than COGS at the same level as 2018. If that were the case, and the same ratio between COGS and revenue is also assumed, VIV needs to increase revenue by ~ 300% to be profitable. Might be slightly less is they can extract themselves from the "Share of net losses of associates accounted for using the equity method".
4) If LaaS takes off, then the revenue stream will be delayed (spread over many years) but COGS will stay the same so profitability will be further delayed.
5) Still of the view that they need further funds to keep this business running - possible CR and borrowing.
6) Placing VIV sentiment back on Sell but will probably keep my (small) holding.
DYOR - anyone have a different viewpoint?

Expand

I think this is a good summary and might explain the dump on high volume today.

VIV Price at posting: 4.4¢ Sentiment: None Disclosure: Not Held
2 Upvote

0 Great analysis

Reply

Top Stories

SLS

Solstice Minerals to ramp up drilling campaign at Yarri Gold Project

ACW

Actinogen Medical ramps up Alzheimer’s treatment trials, targeting fast-track global approvals

BUX

Buxton projects new graphite province discovery at WA Narryer play

BCI

BCI reaches close of funding facility for salt-first part of Mardie project

NTI

Neurotech knocked back by FDA as agency declares target condition not rare enough for special status

Week 40 Wrap: China's nonsensical stimmy hype wanes (shocking!); HotCopper's picks; oil & inflation

COD

Coda Minerals (ASX:COD) enters rights issue to further exploration in South Australia

RCE

Recce eyes Indonesia for novel anti-infective as Indo-Aus ties grow stronger

WCN

White Cliff jumps 24% on 'bonanza grade' copper rock chips at Rae project, Canada

CKA

Cokal upgrades infrastructure for BBM ramp-up in Indonesia

There are more pages in this discussion • 4 more messages in this thread...

First 12 Last

Add VIV (ASX) to my watchlist

I think this is a good summary and might explain the dump on...

Top Stories

Solstice Minerals to ramp up drilling campaign at Yarri Gold Project

Actinogen Medical ramps up Alzheimer’s treatment trials, targeting fast-track global approvals

Buxton projects new graphite province discovery at WA Narryer play

BCI reaches close of funding facility for salt-first part of Mardie project

Neurotech knocked back by FDA as agency declares target condition not rare enough for special status

Week 40 Wrap: China's nonsensical stimmy hype wanes (shocking!); HotCopper's picks; oil & inflation

Coda Minerals (ASX:COD) enters rights issue to further exploration in South Australia

Recce eyes Indonesia for novel anti-infective as Indo-Aus ties grow stronger

White Cliff jumps 24% on 'bonanza grade' copper rock chips at Rae project, Canada

Cokal upgrades infrastructure for BBM ramp-up in Indonesia

Featured News